SINGAPORE: Brent oil may bounce into a range of $74.40 to $75.21 per barrel, as it may have completed a correction from the Tuesday high of $77.84.

The correction consists of three waves. The wave c and the wave a are roughly equal, as revealed by a projection analysis. Such a relation confirms the completion.

It is not very clear if the correction would extend.

The extension may not occur until the current bounce completes. Support is at $72.58, a break below could cause a fall into $70.95-$71.89 range.

On the daily chart, oil may have found a support at $73.50. It is expected to consolidate above this level for one or two days.

Brent oil may retest support at $74.34

The uptrend from $60.27 remains steady. It consists of five waves.

The fall in the past two days could have been driven by a wave iv. Wave guidelines suggest a sideways wave iv, as the wave ii is very sharp.

Each reader should consult his or her own professional or other advisers for business, financial or legal advice regarding the products mentioned in the analyses.